It's too simple. The aspect ratio is the ratio of height to width. If the ratio is 1:1, your trendlines/MAs are going to tend toward the vertical. If it's 1:5, they're going to be nearly horizontal. This has come up a lot in the beginner groups I've worked with. Most charting programs allow you to put multiple windows within a frame. This geewhiz feature appeals to people who want to put multiple indicators above/below their price windows. Unfortunately, if they don't expand the frame, the windows are so narrow that it's nearly impossible to tell whether the indicator is up or down, much less detect a divergence. If I give you a specific aspect ratio, there will be at least a dozen posts getting into how full of crap I am and how the aspect ratio ought to be this or that or it doesn't matter and so on for several pages. So I'd rather suggest that you experiment. When you see a chart on a website, what is its aspect ratio? And by "aspect ratio", I'm referring to the price window. If you add volume or indicators, the price window will narrow and you'll have to expand the frame in order to keep the price window what it was before you started adding all the other stuff.
And, by the way, I'm not doing what you guys are doing. I'm looking only at the YM, ES and NQ, trading either the ES or the NQ, with a few other rule variations. No way I'm getting up in the middle of the night just to trade.
What MA are you using on this chart? It looks like a 10 SMA or a 10 EMA? If you look on Johnny Rottens's charts you can tell his MA was closer to a 20 EMA... At least that what it looks like to me... Another thing, Johhny always said if the bars were coming back to the MA line then it didn't show much strength. You wanted space between the bars and the MA line...
I did a lot of experimenting with the lines to get them to match the ones on the posted charts. For the UB and the LB I used a 10 period Simple of the Median Price with 1.8 deviation. For the middle line I used an 18 period exponential of the close. I'm using MetaStock and that was as close as I could get the match. I never could get my chart to match when I was using the 10 period Close, EMA or a 10 period Close, SMA. With the center MA I built an Adaptive MA and it just about killed my machine in real time but I found the 18EMA was really close to the AMA that I built. Hope this helps... Scrutch
Maybe you could help me out a little? I assume you make your order and send it when you have enough information to go ahead,so using today as an example,from the time you sent your order how long until it got exacuted? I'm working on my own problem of gun shy,information risk/price risk ect. Thanks sulong
Once the price is hit, it only takes a second to execute. Being gun-shy is an issue only with the transmission.